Question 1

What assets can I use to qualify in Vallejo?

Accepted Answer

Cash, savings, stocks, bonds, and retirement accounts typically qualify. Lenders usually discount retirement accounts to 70% of their balance.

Question 2

How do lenders calculate income from my assets?

Accepted Answer

They divide your eligible assets by a set term — often 60 to 84 months. The result is treated as monthly income for qualification.

Question 3

Do I need to be retired to use asset depletion?

Accepted Answer

No. Any borrower with significant liquid assets can apply. Early retirees, investors, and business owners all use this program.

Question 4

Can I buy a rental property in Vallejo with this loan?

Accepted Answer

Yes. Asset depletion works on investment properties, not just primary homes. Expect stricter reserve requirements on investment transactions.

Question 5

Will my rate be higher than a conventional loan?

Accepted Answer

Yes, non-QM programs carry higher rates than conforming loans. Rates vary by borrower profile and market conditions.

Question 6

How much do I need in assets to qualify?

Accepted Answer

It depends on the purchase price and loan amount. A $500K loan over 84 months needs roughly $500K in eligible assets — before other expenses.

Asset Depletion Loans in Vallejo, CA